Bengal Government Revokes Incentive Scheme To Encourage New Industries In State

(MENAFN- IANS) Kolkata, March 19 (IANS) West Bengal has revoked the incentive scheme to encourage the setting up of new industries in the state, Chief Minister Mamata Banerjee announced in the Assembly on Wednesday, the second-last day of the second round of the Budget session.

Citing the logic for taking the decision, the Chief Minister said that since already there had been enough infrastructure-related development in the state, the necessity for carrying along the separate incentive scheme has ceased.

The incentive scheme was introduced for encouraging setting up of new industrial or business units in the districts, especially in the backward area of the state. Under the scheme, introduced during the previous Left Front regime, financial incentives were provided to the new entrepreneurs.

However, that scheme was scrapped on Wednesday and for that purpose, a bill was brought on the floor of the house.

As per the explanation of the state government previously when the scheme was introduced, adequate infrastructure for setting up new industries was not there in the districts. However, the state government has clarified, since during the last few years such infrastructure bottlenecks, especially as regards to electricity and water supply have been done away with, there was no point in carrying on with the incentive scheme separately.

The Chief Minister told the house that the incentive was required since the priorities were not set and work was not done accordingly during the previous Left Front regime.

"Now, new investments have already started flowing in the state. We have started a number of new development schemes for which funds are required, In such a situation, we will have to decide which scheme we should continue with and which we should revoke. That is why the incentive scheme has been revoked," Banerjee said.

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